Creative UK - TV plays vital role in UK economy

Wed 27 Apr 2011

Sector

PLC

ITV, PACT, Channel 4 and BSkyB announced today that they have
jointly commissioned an independent report into the contribution
made by the UK audiovisual industry to the economic growth and
cultural success of the nation - and how that momentum can be
sustained.

The Chief Executives of all four organisations have also written
to the Prime Minister, David Cameron, about the vital importance to
the UK of the audiovisual sector’s continued investment in original
content - and the increasing need to exploit it across a range of
different new platforms and devices. In particular they warn that a
weakening of the Intellectual Property (IP) regime in the UK
threatens to undermine the sectors’ ability to reinvest profits in
economic growth and job creation – and to support innovation and
cultural diversity.

According to the report, by Robin Foster and Tom Broughton of
Communications Chambers, the UK is now arguably the world’s leading
creative laboratory for television with over 500 channels competing
for customer attention. The report shows that:

The audiovisual sector invests £4bn every year in UK
content.

The sector supports over 7,000 firms ranging from start-ups to
world leading production companies and supports 132,000 jobs.

In 2008 independent production in the UK was worth over £2.2bn
- an increase of almost 170% on 10 years earlier.

In 2010 almost half of expenditure on UK originated content
went to independent production companies.

The UK TV sector has a global competitive advantage: the
international sale of UK TV programmes and associated activities
grew to £1,337m in 2009, a 127% increase on 2006.

A strong IP regime has been a key factor in the strength of the
creative industries in the UK and that a weakening of the regime
could lead to a vicious spiral of declining revenues, investments
and audiences.